Report: R.I. one of top states for living paycheck to paycheck

RHODE ISLAND is one of the top 10 states for living paycheck to paycheck, according to GOBankingRates.com. / COURTESY GOBANKINGRATES.COM
RHODE ISLAND is one of the top 10 states for living paycheck to paycheck, according to GOBankingRates.com. / COURTESY GOBANKINGRATES.COM

PROVIDENCE – Rhode Island is one of the top states where people are likely to live paycheck to paycheck, according to GOBankingRates.com.
It ranks eighth on the list of the top 10 states. GOBankingRates.com said that in the Ocean State, a “relatively high percentage” of the median paycheck is spent on housing – 29 percent, and transportation – 20 percent.
“The smallest state in the nation also is one of the most expensive,” the financial website said.
Hawaii ranked first on the list. Massachusetts and Connecticut also made the top 10, at ninth and 10th, respectively.
The website also listed the top states where people are least likely to live paycheck to paycheck, and no New England states made that list. Minnesota is the No. 1 state where people are least likely to live paycheck to paycheck due to its relatively high median household income – sixth in the country – and low cost of living.
States were evaluated and ranked according to the percentage of the median paycheck that was left over after subtracting housing costs, food expenditures, transportation expenses, utilities and health care.
“Living paycheck to paycheck isn’t necessarily a function of income,” Cameron Huddleston, GOBankingRates’ Life + Money columnist, said in a statement. “Plenty of upper-income households live hand to mouth because of poor financial habits. In fact, a separate GOBankingRates’ survey found that people earning $100,000 or more were more likely to fear always living paycheck to paycheck than those earning less.”

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